Question
Perez Manufacturing Co. expects to make 30,300 chairs during the 2017 accounting period. The company made 3,900 chairs in January. Materials and labor costs for
Perez Manufacturing Co. expects to make 30,300 chairs during the 2017 accounting period. The company made 3,900 chairs in January. Materials and labor costs for January were $17,400 and $25,100, respectively. Perez produced 2,300 chairs in February. Material and labor costs for February were $9,600 and $13,000, respectively. The company paid the $333,300 annual rental fee on its manufacturing facility on January 1, 2017.
Required
Assuming that Perez desires to sell its chairs for cost plus 15 percent of cost, what price should be charged for the chairs produced in January and February? (Round intermediate calculations and final answers to 2 decimal places.)
What is the price for the month of January and February (Please be detailed)?
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